Groundbreaking On-Chain US Treasury Financing Completed on Canton Network

Digital Asset, in collaboration with a consortium of leading financial institutions, has completed a groundbreaking transaction on the Canton Network, marking a first in enabling real-time, fully on-chain financing of U.S. Treasuries (UST) against USDC. The transaction, executed on Tradeweb, provides near-instant, atomic settlement on a public blockchain, outside of traditional market hours, on weekends. This live transaction was conducted entirely on-chain, with USDC serving as the cash leg and on-chain UST as collateral, providing true 24/7 liquidity.

Digital Asset, in collaboration with a consortium of leading financial institutions, has completed a groundbreaking transaction on the Canton Network, marking a first in enabling real-time, fully on-chain financing of U.S. Treasuries (UST) against USDC. The transaction, executed on Tradeweb, provides near-instant, atomic settlement on a public blockchain, outside of traditional market hours, on weekends. This live transaction was conducted entirely on-chain, with USDC serving as the cash leg and on-chain UST as collateral, providing true 24/7 liquidity.

The transaction, which occurred on a Saturday, demonstrated the ability to access financing outside traditional global settlement windows. Key highlights include the use of on-chain Real-World Assets (RWAs), native on-chain stablecoin liquidity, and round-the-clock financing. The Canton Network's Global Collateral Network provided the foundation for this unified market structure, enabling seamless movement of real-world assets across a new global digital financial system.

Members of the working group focused on advancing on-chain initiatives include Bank of America, Circle, Citadel Securities, Cumberland DRW, Digital Asset, The Depository Trust & Clearing Corporation (DTCC), Hidden Road, Societe Generale, Tradeweb, and Virtu Financial. This milestone marks a significant step towards building capital markets where high-quality liquid assets, such as UST, are available and usable at all times, regardless of traditional market hours or legacy settlement constraints.

The successful completion of this transaction reflects the power of collaboration in building a more connected, resilient, and always-on global capital market ecosystem. It combines the strengths of traditional and crypto markets, pairing institutional trust and scale with the flexibility and programmability of DeFi. The Canton Network's Global Collateral Network will continue to support the evolution of markets towards greater efficiency and accessibility.

The transaction, which was conducted entirely on-chain with atomic settlement, was executed without disclosing individual role allocations to respect confidentiality and highlight the collective contribution of multiple members of the broader working group. Additional transactions are targeted for later this year.

References:
[1] https://www.prnewswire.com/news-releases/digital-asset-and-industry-working-group-complete-groundbreaking-on-chain-us-treasury-financing-on-canton-network-302527093.html